All Forum Posts by: Christian Thompson

I'm trying to structure a deal utilizing seller financing. The owner of the property is an older woman and says that her monthly mortgage is too much for her. I would like to present seller financing the home. Can someone give me some guidance on how to structure the deal? I know she will have to wrap the loan, but I'm not sure on that process? I'm looking to make her an offer with no money down, and have the interest rate high enough to where she would make a couple of hundred bucks each month. I would then refinance after 6 months - year and pay her off. 

@Chris Seveney Thank you!

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Please let me know what yall think. Looks like a negative geared property. I would look to use private money to fund the rehab cost and use seller financing. 

@Fred Moskowitz Thank you! I'll have to look into that. 

@Lucia Rushton and @Jonathan Greene Thank yall. This is an off-market deal, so we are trying to find the comps to make a fair offer. She was able to find comps from purchases a year ago. As of right now the deal isn't looking too good. I talked with the seller and he's thinking 1.3 - 1.4 million. With the current rents and the high property tax it would cash flow -3k at the purchase price of 1 mill. 

If the seller still owes on a property, do they need to pay off that loan before owner financing? 

The current deal I'm looking at is 3 duplexes. They need about 70k worth of repairs to bring them up to value. The owner is willing to do owner financing, but still owes a few hundred grand on the property. Is there a way for the to owner finance this deal without paying off his loan?

@David Lilley Thank you! I will look into that! You don't happen to know anyway in Houston huh? lol

@David Lilley Thank you. However, my realtor can't find any comps for them. It's a total of 6 units. 

I am trying to get comps for ARV on 3 duplexes. 2 of the duplexes are next door to each other and the 3rd duplex is behind on of the others. My realtor can't seem to find comps for the property. She did bring up going the NOI route. How would I get the cap rate on this property in order to calculate comps?

Thanks @Erik W. That makes sense. There's been a few duplexes they should be able to go off of.